The USDCHF pair advanced toward the parity mark on Monday but lost its momentum before testing that level and reversed its course on Tuesday. What next can traders expect? Gain insight into this 7 August USDCHF Technical Analysis.
7 August, OctaFX – The pair eroded a major part of overnight gains to two-week tops and dropped to test 200-hour SMA during the early North-American session.
As of writing, the pair was trading at its lowest level of the session at 0.9937, losing 0.35% on the day.
7 August USDCHF Technical Analysis
The pair eroded a major part of overnight gains to two-week tops and dropped to test 200-hour SMA during the early North-American session.
Technical indicators on the mentioned chart are holding firmly into bearish territory and thus, increase prospects for a follow-through selling.
A convincing break below the 0.9925-20 region, nearing 50% Fibonacci retracement level of the 0.9867-0.9985 recent up-move and last Friday’s swing low, will reinforce the bearish outlook.
USDCHF 1-hourly chart
Spot Rate: 0.9943
Daily Low: 0.9931
Daily High: 0.9968
Trend: Bearish below 200-hour SMA
R1: 0.9968 (current day swing high)
R2: 0.9994 (R1 daily pivot-point)
R3: 1.0025 (horizontal zone)
S1: 0.9921 (last Friday’s swing low)
S2: 0.9900 (round figure mark)
S3: 0.9882 (S1 weekly pivot-point)
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